Exclusive: Inside Emma Chamberlain's Fundraising Scramble to Keep her Coffee Buzz Going
I got my hands on investor docs that reveal how much she was trying to raise as market trends and logistical snafus complicate a growth story
I write about creators, digital platforms and the $250B global industry they power. I reported on why Carla Lalli Music lost money making videos for YouTube and what Dude Perfect is doing with its $100 million in PE money. Email me tips, ideas and memes at natalie@theankler.com
I’ve been thinking a lot about coffee this week, and not because we lost an hour of sleep over the weekend. Celebrity coffee brands have multiplied in recent years. Robert Downey, Jr. has one, so does Millie Bobby Brown. One early entrant in the space was Chamberlain Coffee, which YouTube everygirl Emma Chamberlain launched at the end of 2019.
The brand — which sells beans, cold brew packets, canned lattes and matcha green tea — has been held up as a success story in the world of creator-founded businesses alongside MrBeast’s Feastables and Huda Kattan’s Huda Beauty. Chamberlain Coffee has raised $15 million in funding, expanded its distribution from its own website into Target, Walmart and Costco, and in January opened its first brick-and-mortar cafe at L.A.’s Westfield Century City Mall, where the lines have been out the door.
But all the good PR Chamberlain’s been getting for the IRL launch comes after a challenging 2024 for the business when its growth slowed significantly. Several sources tell me exclusively she spent the fall fundraising and struggled to find the cash. One potential investor says he was contacted by multiple people pitching a deal, which he describes as making the effort seem desperate.
Generally speaking, it’s not a great time for the coffee industry. Coffee is a capital-intensive product to begin with, and prices have reached an all-time high thanks to climate change and global economic uncertainty. But there’s more to the story at Chamberlain Coffee, including executive turnover and logistics challenges.
A spokesperson for Chamberlain Coffee responded to a request for comment with a statement centered on the success of the cafe. “We opened our first physical location on January 28 as part of our omnichannel approach, recognizing that our consumers want to engage with the brand in the physical space,” the statement reads. “The cafe has amassed over 30,000 transactions since launch, and we have four more cafe locations in the works, with a large publicly traded company as our financial partner.”
I got a look at Chamberlain Coffee’s investor materials, including a pitch deck, and spoke to several knowledgeable sources, including business-building experts, potential investors and people familiar with the company’s plans. In today’s Like & Subscribe I’m bringing you a rare look inside Chamberlain’s business. Read on to learn:
What’s inside the pitch deck: Chamberlain Coffee’s exact fundraising targets and pitch for the business
How the company intends to spend that money
The company’s revenue in 2024 and projections for 2025
Why Chamberlains’s everygirl aesthetic resonates with Gen Z
How the surprisingly complex business of coffee led to skyrocketing costs and logistical stumbles
What the mishaps of a packaging partner have to do with it
What’s next for the brand as it realigns after 2024’s struggles